Author
Topic: 733s Having Low Profits....Why? (Read 1193 times)

GMas

I'm wondering why my B733s aren't more successful. One of them is only pulling in a profit of 77,000k weekly and the other only 39,000 weekly despite good (about 88%) load factors. Why is this? BTW- the routes are HOU-LAS and HOU-MCO and I haven't discounted the fares very much (only taking 2-3% off). Your help is much appreciated.

I'm wondering why my B733s aren't more successful. One of them is only pulling in a profit of 77,000k weekly and the other only 39,000 weekly despite good (about 88%) load factors. Why is this? BTW- the routes are HOU-LAS and HOU-MCO and I haven't discounted the fares very much (only taking 2-3% off). Your help is much appreciated.

B733 is not amazingly efficient in 2008, compared to competition. Flying from one end of continent to another with while the fuel prices are fairly high is not going to be extremely profitable...

Prices are "Custom", but coincidently, there was a fuel price spike in real life in 2008, reaching a peak in mid 2008.

As far as prices to expect, in ATB (covering the same time period as MT3), the fuel prices reached ~$1300 at one point, with prolonged periods of time with prices between $1100 and $1200. The prices don't go up in a straight line, it is peaks and valleys....

Default ticket prices will go up to compensate (not completely) for the higher fuel prices...

GMas

A319 and A318 are a little better here, and Bombardier CS line will be even better in this particular segment....

But you should be doing better than you are reporting. I would try to reset the prices to default and see what happens.

Another thing, when looking at weekly figures, make sure you are looking at weeks without the B checks...

I reset to default prices and they are doing much better! The one making 39,000 weekly now makes 250,000 weekly. It's amazing that a few dollars (literally 2) per fare can make such a big difference. Thanks

I reset to default prices and they are doing much better! The one making 39,000 weekly now makes 250,000 weekly. It's amazing that a few dollars (literally 2) per fare can make such a big difference. Thanks

I don't think there is ever a good reason do discount fares on routes with no competition, and the 2 you mentioned (I looked up) had no competition. Some people here say that when the RI is low, lowering the prices helps. But I don't really buy that argument.

I reset to default prices and they are doing much better! The one making 39,000 weekly now makes 250,000 weekly. It's amazing that a few dollars (literally 2) per fare can make such a big difference. Thanks

Maybe you set the prices at the start and never touched them again... So, when you reset the prices, your tickets where way more than 2 dollars away from default.